Isavia has issued bonds to US investors in a senior unsecured private placement of 175 million euros. This is equivalent to over ISK 25 billion. This is the first bond issue in the history of Isavia.
The capital will be used to refinance existing loans of the company, and with this bond issue Isavia is securing capital on long-term advantageous terms. The capital will also be used to support further development at Keflavík International Airport.
The financing is a one-phase issue concluded in August 2023, with bonds that have a duration of 7-12 years. DNB Markets Inc. acted as a placement agent for the bonds.
According to Ingibjörg Arnarsdóttir, Isavia´s Chief Finance Officer and Chief Human Resources Officer (CFO/CHRO), the bond issue provides Isavia with beneficial refinancing. “We are financing the company on considerably better terms than the domestic market allows for - in that way the bond issue strengthens the company substantially in the middle of the extensive and important development that is underway at Keflavík International Airport.” says Ingibjörg. “Investors place great trust in Isavia in this first bond issue in the history of the company. The reception received by investors was extremely good.”